VSE Closes Desser Aerospace Acquisition, Strengthening Its Aviation Business
Portfolio Pulse from Lekha Gupta
VSE Corp (VSEC) has completed the acquisition of Desser Holding Company LLC for $124 million and sold Desser Aerospace's Proprietary Solutions businesses to Loar Group Inc for $30 million. The net cash consideration for the deal was $94 million. The acquisition is expected to increase VSE's exposure to the high-growth, higher-margin aviation distribution and MRO markets. VSEC shares are currently trading lower by 1.83% at $53.69.
July 03, 2023 | 3:57 pm
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VSE Corp's acquisition of Desser Holding Company and sale of Desser Aerospace's businesses is expected to strengthen its aviation business. However, VSEC shares are currently trading lower.
The acquisition is a strategic move by VSE Corp to increase its exposure to the high-growth, higher-margin aviation distribution and MRO markets. However, despite the strategic acquisition, the company's shares are trading lower, indicating a negative short-term impact on the stock price.
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